Today’s retirees have a lot of freedom in how they use their pension funds. For relatively savvy and wealthy Monevator readers, turning some of a pension pot into an income-generating machine via investment trusts may be attractive.
You could use low-cost passive funds such as ETFs to generate a retirement income instead. You might even choose to gradually sell down your capital – and that’s fine for some, too.
However others may prefer to pay up for actively-managed trusts. Our faculties decline as we age, and owning several trusts dedicated to preserving their income payouts may be a life-saving option in the worst case, and a reassuring one regardless.
The table below lists trusts that Monevator writer The Greybeard believes are worthy of consideration by retirees. (Note: It’s not an endorsement, and it is not personal financial advice. Please do your own research and consider alternatives such as annuities.)